Bitcoin News Today: Institutional Confidence Rises as Bitcoin Buy Dips

During a recent market correction, Strategy, the world’s largest public holder of Bitcoin, and Metaplanet, a major Japanese investor, both increased their Bitcoin treasuries. Strategy added over 3,000 BTC valued at approximately $357 million during the week ending August 25, while Metaplanet acquired 103 BTC worth $11.6 million. The moves align with broader institutional confidence in Bitcoin as a long-term investment and a hedge against economic uncertainties.

Strategy’s latest acquisition, revealed in a SEC filing, brought its total Bitcoin holdings to 632,457 BTC, with an average purchase price of $73,527 per coin. The purchase was made at an average price of $115,829 during a period when Bitcoin’s price dipped to $112,000. This marked the company’s third major Bitcoin buy in August, following two smaller transactions that totaled 585 BTC. Despite the slowdown in its acquisition pace compared to July and June, Strategy’s accumulated BTC positions have consistently increased, with unrealized gains exceeding $25.8 billion at current prices. The company’s treasury strategy continues to emphasize long-term accumulation, regardless of short-term market volatility.

Meanwhile, Metaplanet added 103 BTC, increasing its total holdings to 18,991 BTC. The company’s latest purchase, at an average price of $113,491 per coin, reflects its ongoing commitment to Bitcoin as a strategic asset. With an average cost basis of $102,712 per BTC, Metaplanet’s Bitcoin investment has generated a 479.5% return, significantly outperforming the broader equity market. The firm’s stock price rose 4% following the announcement, signaling positive investor sentiment. Metaplanet’s purchase was made shortly after Michael Saylor, co-founder of Strategy, hinted at another Bitcoin buy for his firm, reinforcing market optimism for continued institutional support.

The buying activity from both companies occurred amid a broader market correction, with Bitcoin trading around $112,000. Strategy, which has historically avoided buying during dips, purchased BTC at a time when the cryptocurrency had fallen from its peak in November 2024. This shift in strategy aligns with Saylor’s recent emphasis on buying during price declines, as he continues to advocate for Bitcoin as a store of value. In contrast to its earlier preference for purchasing at higher prices, Strategy’s recent actions suggest a more opportunistic approach, capitalizing on lower entry points to expand its treasury holdings.

The accumulated impact of these purchases highlights the growing role of corporate treasuries in Bitcoin’s market dynamics. Strategy’s acquisitions are executed through over-the-counter transactions and private agreements, which limit their immediate effect on market prices. According to the company’s corporate treasurer, Shirish Jajodia, these purchases do not significantly move the BTC market, even when acquiring large amounts. With daily trading volumes exceeding $50 billion, even a $1 billion purchase over a few days has a muted impact on the broader market. However, long-term institutional accumulation is seen as a factor that supports Bitcoin’s price floor over time.

As corporate and institutional demand for Bitcoin continues to grow, market observers are closely monitoring whether this trend will reinforce Bitcoin’s long-term price trajectory. Strategy’s adjusted 2025 KPI targets, which include raising its BTC yield to 30% and Bitcoin gains to $20 billion, reflect an increased focus on maximizing returns. These goals, combined with Metaplanet’s strategic accumulation, underscore the evolving dynamics of Bitcoin as it becomes a more integral part of institutional portfolios.

Source:

[1] Saylor signals third consecutive Strategy Bitcoin buy in August (https://cointelegraph.com/news/saylor-third-strategy-bitcoin-buy-august)

[2] Metaplanet Grow Bitcoin Holdings With $11.6M Purchase ... (https://coingape.com/metaplanet-grow-bitcoin-holdings-with-11-6m-purchase-amid-michael-saylors-buy-signal/)

[3] Strategy buys $357M in Bitcoin as price drops to $112K (https://cointelegraph.com/news/strategy-buys-357-million-bitcoin-btc-price-drops-112k)